[maddy]

hi!

the 2009 yaeger cram video mentioned nothing about a minimum reportable amount but the 2009 becker materials still has them….

(this is for the amortization of unrecornized gains/losses over the average remaining service period)

can someone please clarify for me…

thanks!

[potatogun]

I am not sure what you're asking. Are you referring to the threshold for unrecognized gains and losses that needs to be met before you include it in the pension expense?

FAR 92 - AUD 91 - REG 94 - BEC 86

[Anonymous]

Good for you for looking further into the dirty world of pension accounting.

Use the greater of: beginning of the year PBO or the FMV of fund assets

10% of this is the “corridor” amount…that is your boundary;

Is the unrecognized gain or loss at beginning of year greater than the corridor amount? If so, amortize the amount beyond the 10% corridor over the average remaining service years.

REG 97 FAR 91 BEC July AUD Aug

[maddy]

yes, potatogun, it is that threshold to get the excess of unrecog gains or losses, which is what dumb sum mentioned above.

thank you both for responding… this helps!

i initially wasn't sure cuz wasn't mentioned in the yaeger FAR cram course so i didn't know if this threshold was still there or if it had been taken out.

=)

[Author]

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